A-Mark Precious Metals, Inc.
For the period ended Sep 30, 2025. Filed Nov 7, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2025 · Filed Nov 7, 2025
Extracted filing text, with the paragraph anchors used by the comparison.
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Item 2. Results of operations
RESULTS OFOPERATIONS
Overview of Results of Operations
Consolidated Results of Operations for the Three Months Ended September 30, 2025 and 2024
The operating results of our business were as follows (in thousands, except per share and performance metrics data):
| Three Months Ended September 30, · 2025 · 2024 · Change | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| $ · % of revenue · $ · % of revenue · $ · % | |||||||||
| Revenues | $3,680,766 | 100.000% | $2,715,096 | 100.000% | $965,670 | 35.6% | |||
| Gross profit | 72,897 | 1.980% | 43,443 | 1.600% | $29,454 | 67.8% | |||
| Selling, general, and administrative expenses | (59,822) | (1.625%) | (26,617) | (0.980%) | $33,205 | 124.8% | |||
| Depreciation and amortization expense | (7,583) | (0.206%) | (4,709) | (0.173%) | $2,874 | 61.0% | |||
| Interest income | 5,571 | 0.151% | 7,087 | 0.261% | $(1,516) | (21.4%) | |||
| Interest expense | (12,600) | (0.342%) | (9,987) | (0.368%) | $2,613 | 26.2% | |||
| Earnings (losses) from equity method investments | (908) | (0.025%) | 578 | 0.021% | $(1,486) | (257.1%) | |||
| Other income, net | 2,233 | 0.061% | 200 | 0.007% | $2,033 | 1,016.5% | |||
| Unrealized (losses) gains on foreign exchange | (99) | (0.003%) | 178 | 0.007% | $(277) | (155.6%) | |||
| Net (loss) income before provision for income taxes | (311) | (0.008%) | 10,173 | 0.375% | $(10,484) | (103.1%) | |||
| Income tax expense | (660) | (0.018%) | (1,755) | (0.065%) | $(1,095) | (62.4%) | |||
| Net (loss) income | (971) | (0.026%) | 8,418 | 0.310% | $(9,389) | (111.5%) | |||
| Net loss attributable to noncontrolling interests | (32) | (0.001%) | (566) | (0.021%) | $(534) | (94.3%) | |||
| Net (loss) income attributable to the Company | $(939) | (0.026%) | $8,984 | 0.331% | $(9,923) | (110.5%) | |||
| Basic and diluted net (loss) income per share attributable to A-Mark Precious Metals, Inc.: | |||||||||
| Per Share Data: | |||||||||
| Basic | $(0.04) | $0.39 | $(0.43) | (110.3%) | |||||
| Diluted | $(0.04) | $0.37 | $(0.41) | (110.8%) | |||||
| Performance Metrics:(1) | |||||||||
| Gold ounces sold(2) | 439,000 | 398,000 | 41,000 | 10.3% | |||||
| Silver ounces sold(3) | 10,391,000 | 20,449,000 | (10,058,000) | (49.2%) | |||||
| Inventory turnover ratio(4) | 2.9 | 2.3 | 0.6 | 26.1% | |||||
| Number of secured loans at period end(5) | 424 | 562 | (138) | (24.6%) | |||||
(1)
See "Results of Segments" for a description of additional metrics not listed above.
(2)
Gold ounces sold represents the ounces of gold product sold and delivered to the customer during the period, excluding ounces of gold recorded on forward contracts.
(3)
Silver ounces sold represents the ounces of silver product sold and delivered to the customer during the period, excluding ounces of silver recorded on forward contracts.
(4)
Inventory turnover ratio is the cost of sales divided by average inventory for the period presented above. This calculation excludes precious metals held under financing arrangements, which are not classified as inventory on the condensed consolidated balance sheets.
(5)
Number of outstanding secured loans to customers that are primarily collateralized by precious metals at the end of the period.
Revenues
| in thousands, except performance metrics | |||||||
|---|---|---|---|---|---|---|---|
| Three Months Ended September 30, · 2025 · 2024 · Change | |||||||
| $ · % of revenue · $ · % of revenue · $ · % | |||||||
| Revenues | $3,680,766 | 100.000% | $2,715,096 | 100.000% | $965,670 | 35.6% | |
| Performance Metrics | |||||||
| Gold ounces sold | 439,000 | 398,000 | 41,000 | 10.3% | |||
| Silver ounces sold | 10,391,000 | 20,449,000 | (10,058,000) | (49.2%) | |||
Revenues for the three months ended September 30, 2025 increased $965.7 million, or 35.6%, to $3.681 billion from $2.715 billion in 2024. Excluding an increase of $561.4 million of forward sales, our revenues increased $404.3 million, or 27.6%, which was due to an increase in gold ounces sold and higher average selling prices of gold and silver, partially offset by a decrease in silver ounces sold. Revenues also increased due to the acquisitions of SGI and Pinehurst in February 2025, and the acquisition of AMS in April 2025.
Gold ounces sold for the three months ended September 30, 2025 increased 41,000 ounces, or 10.3%, to 439,000 ounces from 398,000 ounces in 2024. Silver ounces sold for the three months ended September 30, 2025 decreased 10,058,000 ounces, or 49.2%, to 10,391,000 ounces from 20,449,000 ounces in 2024. On average, the selling prices for gold increased by 38.9% and selling prices for silver increased by 40.2% during the three months ended September 30, 2025 as compared to the prior year.
JMB's revenue represented 7.9% and 11.3% of the Company's consolidated revenue for the three months ended September 30, 2025 and 2024, respectively.
Gross Profit
| in thousands, except performance metric | ||||||
|---|---|---|---|---|---|---|
| Three Months Ended September 30, · 2025 · 2024 · Change | ||||||
| $ | % of revenue | $ | % of revenue | $ | % | |
| Gross profit | $72,897 | 1.980% | $43,443 | 1.600% | $29,454 | 67.8% |
| Performance Metric | ||||||
| Inventory turnover ratio | 2.9 | 2.3 | 0.6 | 26.1% | ||
Gross profit for the three months ended September 30, 2025 increased $29.5 million, or 67.8%, to $72.9 million from $43.4 million in 2024. The overall gross profit increase was due to an increase in gross profits earned by both the Wholesale Sales & Ancillary Services segment and the Direct-to-Consumer segment, including the acquisitions of SGI, Pinehurst, and AMS which were not included in the same year-ago period, partially offset by lower trading profits.
The Company’s overall gross margin percentage for the three months ended September 30, 2025 increased by 38.0 basis points to 1.980% from 1.600% in 2024. Excluding forward sales that had a negligible impact to the amount of gross profit, our gross margin percentage for the three months ended September 30, 2025 increased by 93.4 basis points to 3.896% from 2.962%, which was primarily due to an increase in our retail market activity and higher premium spreads, partially offset by lower trading profits. JMB’s retail market activity represented 21.3% and 37.1%, respectively, of the Company’s consolidated gross profit for the three months ended September 30, 2025 and 2024.
Our inventory turnover ratio for the three months ended September 30, 2025 increased by 26.1% to 2.9 from 2.3 in 2024. The increase was primarily due to lower average inventory balances held under product financing arrangements and by higher forward sales.
Selling, General and Administrative Expense
| in thousands | ||||||
|---|---|---|---|---|---|---|
| Three Months Ended September 30, · 2025 · 2024 · Change | ||||||
| $ | % of revenue | $ | % of revenue | $ | % | |
| Selling, general, and administrative expenses | $(59,822) | (1.625%) | $(26,617) | (0.980%) | $33,205 | 124.8% |
Selling, general, and administrative expenses for the three months ended September 30, 2025 increased $33.2 million, or 124.8%, to $59.8 million from $26.6 million in 2024. The change was primarily due to: (i) an increase in compensation expense of $19.5 million, (ii) an increase in advertising costs of $5.2 million, (iii) an increase in consulting and professional fees of $4.1 million, (iv) an increase in facilities expense of $1.3 million, (v) an increase in bank service and credit card fees of $1.2 million, and (vi) an increase in insurance costs of $0.6 million. Selling, general and administrative expenses for the three months ended September 30, 2025 include expenses incurred by SGI, and Pinehurst, and AMS which were not included in the same year-ago period as these were not consolidated subsidiaries.
Depreciation and Amortization Expense
| in thousands | ||||||
|---|---|---|---|---|---|---|
| Three Months Ended September 30, · 2025 · 2024 · Change | ||||||
| $ | % of revenue | $ | % of revenue | $ | % | |
| Depreciation and amortization expense | $(7,583) | (0.206%) | $(4,709) | (0.173%) | $2,874 | 61.0% |
Depreciation and amortization expense for the three months ended September 30, 2025 increased $2.9 million, or 61.0%, to $7.6 million from $4.7 million in 2024 primarily due to (i) an increase in amortization expense of $3.2 million relating to intangible assets acquired through our acquisitions of SGI, Pinehurst, and AMS, and (ii) an increase of $1.5 million of depreciation expense due to an increase in capital expenditures, partially offset by (iii) a decrease in intangible asset amortization related to JMB and SGB of $1.9 million.
| in thousands, except performance metric | ||||||
|---|---|---|---|---|---|---|
| Three Months Ended September 30, · 2025 · 2024 · Change | ||||||
| $ | % of revenue | $ | % of revenue | $ | % | |
| Interest income | $5,571 | 0.151% | $7,087 | 0.261% | $(1,516) | (21.4%) |
| Performance Metric | ||||||
| Number of secured loans at period-end | 424 | 562 | (138) | (24.6%) | ||
Interest income for the three months ended September 30, 2025 decreased $1.5 million, or 21.4%, to $5.6 million from $7.1 million in 2024. The aggregate decrease in interest income was due to a decrease in interest income earned by our Secured Lending segment of $0.5 million and a decrease in other finance product income of $1.0 million.
The interest income from our Secured Lending segment decreased by $0.5 million, or 15.8%, compared with the prior year period. The decrease in interest income earned from the segment’s secured loan portfolio was primarily due to lower average monthly loan balances and fewer loans outstanding. The number of secured loans outstanding decreased by 24.6% to 424 as of September 30, 2025, from 562 as of September 30, 2024.
| in thousands | ||||||
|---|---|---|---|---|---|---|
| Three Months Ended September 30, · 2025 · 2024 · Change | ||||||
| $ | % of revenue | $ | % of revenue | $ | % | |
| Interest expense | $(12,600) | (0.342%) | $(9,987) | (0.368%) | $2,613 | 26.2% |
Interest expense for the three months ended September 30, 2025 increased $2.6 million, or 26.2%, to $12.6 million from $10.0 million in 2024. The increase in interest expense was primarily due to: (i) an increase of $1.3 million related to precious metals leases driven by higher overall borrowings and an increase in weighted-average interest rates, (ii) an increase of $0.6 million associated with our Trading Credit Facility due to increased borrowings, and (iii) an increase of $0.5 million related to product financing arrangements due to higher interest rates partially offset by reduced borrowings.
Earnings (Losses) from Equity Method Investments
| in thousands | ||||||
|---|---|---|---|---|---|---|
| Three Months Ended September 30, · 2025 · 2024 · Change | ||||||
| $ | % of revenue | $ | % of revenue | $ | % | |
| Earnings (losses) from equity method investments | $(908) | (0.025%) | $578 | 0.021% | $(1,486) | (257.1%) |
Earnings (losses) from equity method investments for the three months ended September 30, 2025 decreased $1.5 million, or 257.1%, to a loss of $0.9 million from earnings of $0.6 million in 2024 due to decreased earnings of our equity method investees.
Other Income, Net
| in thousands | ||||||
|---|---|---|---|---|---|---|
| Three Months Ended September 30, · 2025 · 2024 · Change | ||||||
| $ | % of revenue | $ | % of revenue | $ | % | |
| Other income, net | $2,233 | 0.061% | $200 | 0.007% | $2,033 | 1,016.5% |
Other income, net for the three months ended September 30, 2025 increased $2.0 million, or 1,016.5%, to $2.2 million from $0.2 million in 2024. The change in other income, net was primarily due to contingent consideration fair value adjustments related to our acquisitions of LPM, Pinehurst and AMS.
Income Tax Expense
| in thousands | ||||||
|---|---|---|---|---|---|---|
| Three Months Ended September 30, · 2025 · 2024 · Change | ||||||
| $ | % of revenue | $ | % of revenue | $ | % | |
| Income tax expense | $(660) | (0.018%) | $(1,755) | (0.065%) | $(1,095) | (62.4%) |
Our income tax expense was $0.7 million and $1.8 million for the three months ended September 30, 2025 and 2024, respectively. Our effective tax rate was approximately -212.2% and 17.3% for the three months ended September 30, 2025 and 2024, respectively. Our effective tax rate varied from the federal statutory rate for the three months ended September 30, 2025 primarily due to state taxes (net of federal tax benefit), non-taxable and non-deductible items, separate U.S. filing jurisdictions, and foreign taxes in jurisdictions that are based on results realized through the period. Our effective tax rate varied from the federal statutory rate for the three months ended September 30, 2024 primarily due to the excess tax benefit from share-based compensation, partially offset by state taxes (net of federal tax benefit), foreign tax rate differential, Section 162(m) executive compensation disallowance, and other normal course non-deductible expenditures.
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.